Join Now  | 
Home About Contact Us Privacy & Security Advertise
Soccer America Daily Soccer World Daily Special Edition Around The Net Soccer Business Insider College Soccer Reporter Youth Soccer Reporter Soccer on TV Soccer America Classifieds Game Report
Paul Gardner: SoccerTalk Soccer America Confidential Youth Soccer Insider World Cup Watch
RSS Feeds Archives Manage Subscriptions Subscribe
Order Current Issue Subscribe Manage My Subscription Renew My Subscription Gift Subscription
My Account Join Now
Tournament Calendar Camps & Academies Soccer Glossary Classifieds
FIFA settles lawsuit with MasterCard for $90 million
June 22nd, 2007 7AM
Subscribe to Soccer America Daily

MOST READ
TAGS:  world cup

MOST COMMENTED

FIFA and MasterCard settled the latter's lawsuit, paving the way for FIFA to go ahead with its sponsorship agreement with MasterCard rival Visa International.

MasterCard, which had sponsored the World Cup for 16 years, will drop its sponsorship of the next two World Cups under a $90 million settlement with FIFA announced on Thursday. FIFA will pay $87.5 million by June 30 and $2.5 million by Sept. 30.

"We have made a decision after taking a hard look at the facts and circumstances, that substantial financial compensation to MasterCard, along with severing the relationship between our two companies, at the end of the day was in the best interests of MasterCard's customers and shareholders," MasterCard's general counsel, Noah Hanft, said on a conference call.

MasterCard sued FIFA in April 2006 after FIFA awarded the sponsorship for the next two World Cups to rival Visa. MasterCard claimed it had right of first refusal on future sponsorship agreements. MasterCard won in U.S. District Court, but an appeals court last month ordered a review of that ruling. FIFA wanted an arbitration panel in Switzerland, where it is headquartered, to decide the matter. According to FIFA, the settlement also covered a protracted marketing dispute between FIFA and MasterCard regarding the two hemispheres logo.

As part of the settlement, FIFA and MasterCard agreed to terminate legal proceedings in the United States and Switzerland.

"FIFA has, first of all, resolved a problem," FIFA president Sepp Blatter said, "and, secondly - much more importantly - has paved the way to a good, new partner that will support it and its manifold activities efficiently all around the world."

Visa will be one of only six FIFA partners as soccer's world governing body narrows down its main sponsors. The others will be Adidas, Hyundai, Coca-Cola, Sony, Visa and Emirates Airlines.



No comments yet.

Sign in to leave a comment. Don't have an account? Join Now




AUTHORS

ARCHIVES
FOLLOW SOCCERAMERICA

Recent Soccer America Daily
Jonathan Dos Santos gives Galaxy huge boost    
Some manuevering was necessary for the LA Galaxy to sign midfielder Jonathan Dos Santos, the younger ...
San Francisco Deltas owner warns about poor crowds    
The San Francisco Deltas finished second in the NASL spring season, an encouraging start for the ...
What They're Saying: Josep Maria Bartomeu    
"Because at the end, this is a good business for both teams." -- Barcelona president Josep ...
Bob Bradley returns home to take charge of LAFC    
Twenty years after his first job as the head coach of an MLS expansion team, Bob ...
ToN: Australia beats USA for first time in 28 games    
The USA's 27-game unbeaten record against Australia -- the longest against any opponent in program history ...
Crowd Count: ICC match shatters LA Coliseum record    
The International Champions Cup match between Real Madrid and Manchester City drew 93,098 fans at the ...
Onalfo out, Sigi in: Why Galaxy moves happened now    
For the third time in less than a year, the signing of a Designated Player has ...
Video Pick: Jordan Morris' winning touch for USA    
Jordan Morris' winning goal in the Gold Cup final was his the fifth for the USA. ...
What They're Saying: Jurgen Klinsmann     
"He could have signed with any MLS team. They all got in touch. But his goal ...
Sigi Schmid is back -- replaces Onalfo at Galaxy    
The Los Angeles Galaxy has sacked Clint Onalfo, who took over as head coach for the ...
>> Soccer America Daily Archives